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The South African Fruit Industry – Contribution to Food Security Konanani Liphadzi CEO: Fruit SA Fruit SA Structure Strategic Intent & Objectives Strategic intent • To enable the SA fruit industry to be competitive, equitable and sustainable. Objectives • Establish FSA as the collective platform for the fruit industry of SA • Engage constructively with government and other public institutions on policy, legislation and other fruit industry matter. • Engage constructively with other strategic stakeholders • Promote and coordinate broad based BEE, transformation and skills development (training) • Gather and disseminate key industry related information • Communicate industry information to broader public and industry stakeholders SA Fruit Industry Statistics • 4.7 million tons of fruit is produced annually 60% 50% 55% 40% 34% 30% 20% 10% 0% Citrus Pome & Stone 6% 5% Table grapes Sub-tropical and nuts Market Segmentation of Fruit Produced 70% 60% 59% 50% 40% 30% 28% 20% 10% 12% 1% 0% Export markets Local markets Processing Drying SA Fresh Fruit Industry Foot Print South African Fruit Export Markets EU 30,9% Americas 4,2 Russia 7,8% UK 11,7% Middle East 17.6% Far East Africa 10,2% 16,2% Fruit Industry's Contribution to Economy • 50% of all agricultural exports from SA is fresh fruit • The fruit industry is worth more than R30 billion • Given that Agriculture contributes 2,5% to the country’s GDP (±R98 billion), therefore, the fruit industry is a major contributor to agriculture’s contribution to the economy Fruit Industry's Contribution to Economy Job creation & Employment • 190 000 people directly employed (10% contribution) • 8 000 people directly providing services to the fruit industry • 109 000 people employed in downstream service • NDP target: 1 million jobs The fruits sector ranks highly in terms of its labour intensiveness and growth potential (NDP) Other Social Contribution • Provide on-farm housing to more than 80% of its permanent employees (water and electricity supplied to all the houses) • Provide transport capacity or transport subsidisation to seasonal employees • Provide basic health care on on-farm facilities and subsidisation of advanced health care at external health care facilities • Providing nursery and pre-primary school programmes on-farm • Supporting primary and secondary school programmes at external centres • The fruit industry established a Sustainability Initiative of South Africa (SIZA), the ethical trade program which promotes sound ethical labour practices on farms and pack houses Food Security Definition • According to FAO, food security is achieved ‘when all people, at all times, have physical and economic access to sufficient, safe and nutritious food to meet their dietary needs and food preference for an active and healthy life’. • Individual, Household, National, Regional and Global level Food Security Dimensions Contribution towards Food Security Dimension Contribution through: • Availability of nutritional food – supply side • Primary production of fruit • We produce way more than local consumption - 60% fruit exported • • Job creation especially in rural areas (addressing poverty) • Earner of foreign income – economic growth Access to food – purchasing power • Utilization • Making sure that nutritious food is available • Food safety issues (SPS) • Stability of access to food • The industry minimizes the risks of natural and economic shocks Public Awareness of the Agricultural Sector • What comes to the public mind when you talk about farmers? Public Awareness of the Agricultural Sector The Great Fruit Adventure Travelled some 18,000 kilometres, through 18 countries, meeting and greeting over 5,000 school children and experiencing first hand life on fresh produce farms throughout Africa. Conclusion • The English say ‘the way to a man’s heart is through his stomach’. • We need to raise public awareness of the value of the agricultural sector – unapologetically. • Food Security can and should be that driver. Thank you